One of the major considerations in attempting to control the costs of hospital operations is the determination of the maximum average occupancy that is achievable on units where the size of the unit, the number of emergent and elective patients being admitted to the unit, the length of stay of the patients, the distributions of the lengths of stay, and the policies concerning scheduled cancellations and availability of beds for emergent patients, are taken into account. The proposed research is to establish a factorial design and via a computer simulator that has been developed for admissions scheduling systems, to determine the maximum average occupancy that is achievable over the range of 40 to 320 beds per unit. Estimates of the errors in the predicted average maximum occupancy and their sources will be examined in detail. Examples of the use of the occupancy predictions for planning and day-to-day cost control will be given.